NEW DELHI 26th July 2016: In another major acquisition news, online fashion marketplace Myntra announced that it has acquired Jabong from Global Fashion Group to create India’s biggest fashion shopping destination.
Commenting on this major development of Indian e-commerce industry, Binny Bansal, CEO and Co-Founder, Flipkart said, “Fashion and lifestyle is one of the biggest drivers of ecommerce growth in India. We have always believed in the fashion and lifestyle segment and Myntra’s strong performance has reinforced this faith. This acquisition is a continuation of the group’s journey to transform commerce in India. I am happy that we will now be able to offer to millions of customers a wide variety of styles, products and a broad assortment of global as well as Indian brands”
The acquisition of Jabong further strengthens Myntra and its parent company Flipkart’s position as the undisputed leader in fashion and lifestyle segment in India, the company said in a statement.
According to Ananth Narayanan, CEO, Myntra, “Jabong has built a strong brand that is synonymous with fashion, a loyal customer base and a unique selection with exclusive global brands. The acquisition of Jabong is a natural step in our journey to be India’s largest fashion platform. We see significant synergies between the two companies especially on brand relationships and consumer experience. We look forward to working with the talented Jabong team to shape the future of fashion and lifestyle ecommerce in India.”
The acquisition also signals about a major consolidation that is about to shake up the entire e-commerce market in the coming months.
According to experts, Jabong’s acquisition by Myntra is also in the wake of the growing competition the online players were facing from offline brands such as Tata Cliq, Abof, Reliance Ajio and Now, who entered the market with an omni-channel strategy.
Jabong is among India’s major fashion multi-brand e-store with more than 1,500 on-trend international high-street brands, sports labels, Indian ethnic and designer labels and over 150,000 styles from over a thousand sellers.
Myntra and Jabong are all set to define the next generation of online shopping with a combined base of 15 million monthly active users and offering the best of brands to Indian consumers. Some of the most iconic global brands that will be exclusive to both the platforms include Dorothy Perkins, Topshop, Tom Tailor, G Star Raw, Bugatti Shoes, The North Face, Forever 21, Swarovski, Timberland and Lacoste, the company said.